Our First Shorty is Back

Posted by Dave Fratello on Saturday, December 8th, 2007 at 5:52am.

In June, MBC noted that 2507 Valley had finally gone into escrow after about 15 months on the market.

At the time, it was listed at $1.799m and was a short sale. (See "Short Sale Pending on Valley.")

Turns out someone balked at the short sale – said to be a loss of $370k – and the property vanished from the MLS and wound up going to a foreclosure auction Nov. 1. (Curiously, the selling agents kept the ad for this one up on their board by a local restaurant with a proud "SOLD" sticker slapped over it long after the sale collapsed.)

MBC got the runaround trying to determine who bought Valley at the auction, but in these cases it's almost always one of the lenders owed money by the "homeowner." The fact that it's back on the market within weeks of the auction tells us that's what's going on.

New list price: $1.790m.

That's exactly $250k more (+16%) than was paid by the previous "owner" in Feb. 2004 ($1.54m) when the home was new.

For that price, you get 4br/3ba, 2850 sq. ft., a newer home on an oddly cornerish, 6000 sq. ft. lot on a busy street. You'll wonder where all that lot square footage really is, however, and the layout strikes many as odd. (Click here for more detail via Redfin; as we write, there are not yet any pictures.)

The price doesn't seem particularly outrageous. After all, before the mortgage meltdown, this is around the price someone else offered. And yet, today, this home would also fit just fine in the $1.6m tier. It would be a deal at $1.4m-$1.5m. How aggressive can the new owner afford to be?

And here's your chance to bet – both 1313 Oak and 601 Larsson were pitched in recent weeks as short sales. Will either one wind up sold that way, or will we just see them again next year after the banks take them back?
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